New Law to Increase Penalties to Encourage Firms to Comply with Pollution Rules

New law to increase penalties to encourage firm to comply with pollution rulesChinese enterprises that are caught polluting will be fined 10,000 yuan a day while they will fail to comply with the environmental rules in accordance with new legislation that is currently being considered by the government.

The new law being drafted will be released to the public later this year and will be submitted for approval during next year’s parliamentary session. China has been long struggling to strike a balance between their economic growth and environmental protection and has had difficulty in enforcing industrial enterprises to comply with pollution rules.

The current fine ranges and administrative punishments are regarded as too small or too lenient to act as a deterrent for the violators of the pollution rules. Experts are hoping that the new law will make sure that the fines will be enough to provide compensation for environmental disasters. But raising the cost might force small enterprises that are caught polluting to close down, and might not be enough to discourage larger firms from polluting.

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